Rent-to-own housing is not a new concept. Just some years ago it was a popular approach to the purchase of a home. In the years of easy mortgages its popularity as a pathway to home ownership waned. However now, as mortgages grow harder to come by and more out of reach for many lower and moderate income American families, the rent-to-own option is making a come-back.
This strategy to the purchase of a home offers buyers an affordable and more manageable option and offers sellers the ability of maintaining cash flow while finalizing the sale. It's an exciting proposition for both parties, however, it's much simpler said than done. The rent-to-own option doesn't grow on trees, it requires research, finding, negotiating and navigating through a variety of potential pitfalls and roadblocks.
Rent2OwnDeals was built to provide you with some of the information necessary to assist you in your search for housing options. To this end, we've created a number of resource guides and articles on the subject to help you each step of the way. We hope you're able to take a great deal of information from these articles and use it to your advantage in finding housing opportunities for you and your family.
Top Articles & Guides
Find Deals On Foreclosed Homes
– Buying a foreclosed home isn't easy. You have to know the rules, search for opportunities, and move decisively when the right chance comes. Play your cards right, though, and you can land a quality property at a huge discount.
Rent-To-Own Best Listings Websites
- Rent-to-own deals are a route to home ownership for families who don't have the cash or the credit score for a conventional purchase. If you're considering a rent-to-own transaction, these sites will provide listings of available properties and many other resources.
How To Find Rent-To-Own Housing
- Real estate listings tend to show homes for lease and homes for sale. Rent-to-own lands right in the middle of those two brackets and isn't nearly as easy to find. Sellers are not quick to promote that it's an option they'll consider as, if given the choice, they typically would rather sell their home outright. Many sellers may not even be aware of the option. Finding rent-to-own homes is not necessarily straight forward and effort will be required.
Should You Buy A Fixer-Upper?
– On TV, it looks easy. You buy a cheap house, fix it up, and sell it at a profit. That's possible, but you need to know what you're getting into because in real life things don't always go smoothly!
FHA Loans: How To Get Them
- FHA loans offer flexible terms, low down payments, and reasonable interest rates, even to individuals with mediocre credit scores. These loans can help you become a homeowner faster and with less cost and risk.
Bad Credit Home Loans
- If you're one of the many Americans with a low to moderate income and a low credit score, getting a mortgage might seem impossible. Don't give up: there are programs designed to help people with less than ideal credit buy their own homes. This introduction will get you started.
Benefits of Rent-To-Own
- The benefits of this option are numerous for both the buyer and the seller. For buyers, the arrangement allows time to prep for a mortgage qualification, build up a down payment and have a realizable goal that can motivate and encourage all family members. Additionally, those family members that need to repair their credit score before obtaining a mortgage can take advantage of the additional time while rebuilding a consistent payment history. Lastly, the time also allows the buyer to pay down existing debt and participate in credit counseling.
Owner Financing Options
- Owner financing is an arrangement where a property owner lends a buyer money to complete a purchase. Sellers move properties fast, and buyers can get around many of the restrictions imposed by traditional lenders. There are things to look out for, and it's not right for every deal, but it's worth a look!
Rent-To-Own Budgeting & Planning
- Finding how to budget for your new home will require examining what you can afford, as well as understanding the Debt-to-Income Ratio used by mortgage lending companies. Before a buyer looks for their potential home, they should have an idea of their budget. To determine this, an examination of personal finances, income and expenses is a necessity. In this article we discuss the best practices in more detail.
Best Products You Can Rent-To-Own
- Rent-to-own deals aren't just about houses. You can buy a wide range of other products the same way, and it's a good way to buy expensive items without laying out a lot of cash. Here's a look at what's for sale and where you can get it
Spring / Summer Home Buying Guide
– Looking to buy a home during the warmer months? Take a look at this insightful guide to make certain you come out on top. Get best tips, strategies and much more.
Inspections To Run Before Signing
– How sure are you that the home you're buying is safe, secure, and functional? A professional home inspection could save you time and money in the long-term by identifying prospective problems with the property. Our handy FAQ breaks it down.
Understanding The Contract
- Rent to Own arrangements are a way for families with poor credit to own their own home. The difference between a good deal and a bad one can often be found in the contract's fine print, and important details are easy to overlook. Here's what to look for.
- There are certain steps one must take when purchasing a home via the rent-to-own option. After finding a willing owner, you must negotiate and arrive at an agreed purchase price. There are many steps involved with the buying process and it's important to gain an understanding of each of them. Here we will discuss this process as well as introduce the necessary agreements and contract process.
Warnings & Scams
- Before dashing out into the market, it's important to understand not only the benefits but also the risks of the rent-to-own option. There are some unscrupulous individuals and companies out there misleading prospective buyers. In this article we will review some of the warning signs and scams to be on the look-out for so that you can avoid them.
Every Family Deserves a Home of Their Own
Rent-to-own housing makes sense to consider if you are unable to get a loan from a bank or credit union. It makes sense if your credit score is less than adequate. The option may provide the necessary time for you to repair your credit, consolidate and pay off your debt and budget for a down payment. If you are considering any form of homeownership and your credit is less than stellar, now's the time to repair your credit
Our guides and articles are meant to serve as an introduction. Following that, make sure you are getting the advice of a local real estate agent and legal representative where and when necessary. Good luck!